Markets likely to focus on macro data, auto sales numbers this week

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Mumbai: Key macro data and auto sales data are going to steer the markets in the truncated week as trading session will be shut on Friday on account of Holi. Auto and technology stocks are likely to be in focus, while banking and jewellery stocks may continue to be under selling pressure.

Among crucial macro data, gross domestic product (GDP) for December quarter will be released on Wednesday. According to a Mint report, GDP for three months ending December may see faster growth due to favourable base effect and broad-based pick-up in economic activity. GDP grew 6% in the six months ended 30 September. The Economic Survey 2018 has pegged FY19 GDP growth at 7-7.5%.

Nikkei India Manufacturing PMI (purchasing managers’ index) data will also be released this week. India factory PMI in January had cooled to a 3-month low on weak demand. The Nikkei Manufacturing PMI, compiled by IHS Markit, fell to 52.4 last month from December’s 54.7.

Investors will keep an eye on auto stocks as the companies will announce their monthly sales data in February. According to data released by the Society of Indian Automobile Manufacturers (Siam), domestic passenger vehicle sales grew by 7.57% to 2,85,477 units in January this year driven by robust growth of utility vehicles which posted the second-highest-ever monthly volume. Car sales, however, declined by 1.25% to 184,264 units last month as against 186,596 units in January last year. However, car sales fell by 1.25% to 184,264 units last month as against 186,596 units in January last year.

Meanwhile, IT stocks will be watched out as the US government has further tightened H1B visa norms. According to a Mint report, under the new policy, a firm would have to go an extra mile to prove its H1B employee at a third-party worksite has specific and non-qualifying speculative assignments in speciality occupation.

In the primary markets, Aster DM Healthcare Ltd will make its stock market debut on Monday. The initial public offering (IPO) of the company, which runs hospitals in India and West Asia, saw an overall subscription of 1.33 times during its three-day share sale starting on 12 February. The issue, with a price band of Rs180-190 per share, aims to raise Rs980 crore through the IPO.

IPO of Jodhpur-based HG Infra Engineering Ltd will open for subscription on Monday with a price band of Rs263-270 per share. The Rs462 crore IPO will close on 28 February.livemint